Apple will never go out of business. Yes, it's market share will be dented a bit. Amazon's 10-inch offering in 2012 will be the one to watch, if they price it right.
There's going to be one huge outcome from Amazon's announcement; suddenly Android Honeycomb has become attractive to app makers, & I predict an exponential growth in tablet specific Android apps, which will give a level playing field for Android tablets to compete with Apple.
The spanner in the works will come from Microsoft. If Windows tablet is anywhere close to iPad in terms of slickness, we may be in for a surprise. I think that's the dark horse, with MS Office up its sleeve. No wonder it hasn't released Office in the app store or android marketplace.